Gold rally could signal start of resurgence
Gold has managed to gain ground this morning, following a failed attempt to break below last week’s $1310 low. That is the first piece of the jigsaw, with a break through $1334 providing the signal that this sell-off is likely to be over.
For now, we have both trendline and simple moving average (50-SMA) resistance to contend with. A bullish view remains in play, with initial signs pointing towards a recovery coming into play. This bullish outlook remains unless we see an hourly close below $1303.